Item 1.02 Termination of a Material Definitive Agreement
Sagient Research Systems, Inc. (the "Company"), entered into a
Termination Agreement with Camelback Research Alliance, Inc. ("Camelback"), on
August 23, 2004 (the "Agreement"). Pursuant to the Agreement, the parties
mutually agreed to terminate the Marketing Agreement, dated as of February 12,
2003, pursuant to which the Company markets, sells and distributes Camel's
investment product "Earnings Quality Analytics Research Services" (the
"Product"), to investment firms, hedge funds, and mutual funds. The Product
provides forensic accounting analysis of large, mid, and small capitalization
U.S. equity securities. Pursuant to the Agreement, the termination is effective
as of October 31, 2004 (the "Termination Date").
In accordance with the terms of the Agreement, the Company and
Camelback shall identify all of the Company's active subscribers of the Product
as of the Termination Date. For all of the Company's active subscribers: from
the Termination Date to October 31, 2005, the Company shall receive a revenue
share of forty percent (40%) of the subscriptions; from October 31, 2005 to
October 31, 2007, the Company's shall receive a reduced revenue share of fifteen
percent (15%) of the subscriptions; and following October 31, 2007, the Company
shall not receive any further revenue share of the subscriptions.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
SAGIENT RESEARCH SYSTEMS, INC.
Date: August 25, 2004
By: /s/ BRIAN M. OVERSTREET
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Name: Brian M. Overstreet
Title: President and Chief Executive Officer